Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2020

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets. Derivative amounts in the tables below for all Duke Energy Registrants exclude cash collateral, which is disclosed in Note 9. See Note 10 for additional information related to investments by major security type for the Duke Energy Registrants.

	September 30, 2020
(in millions)	Total Fair Value			Level 1			Level 2			Level 3			Not Categorized
NDTF cash and cash equivalents	$	687		$	687		$	—		$	—		$	—
NDTF equity securities	5,459			5,413			—			—			46
NDTF debt securities	2,224			363			1,861			—			—
Other equity securities	126			126			—			—			—
Other debt securities	308			18			290			—			—
Other cash and cash equivalents	110			110			—			—			—
Derivative assets	86			5			71			10			—
Total assets	9,000			6,722			2,222			10			46
Derivative liabilities	(359		)	(1		)	(145		)	(213		)	—
Net assets (liabilities)	$	8,641		$	6,721		$	2,077		$	(203	)	$	46

	December 31, 2019
(in millions)	Total Fair Value			Level 1			Level 2			Level 3			Not Categorized
NDTF cash and cash equivalents	$	101		$	101		$	—		$	—		$	—
NDTF equity securities	5,684			5,633			—			—			51
NDTF debt securities	2,368			725			1,643			—			—
Other equity securities	122			122			—			—			—
Other debt securities	258			39			219			—			—
Other cash and cash equivalents	52			52			—			—			—
Derivative assets	25			3			7			15			—
Total assets	8,610			6,675			1,869			15			51
NDTF equity security contracts	(23		)	—			(23		)	—			—
Derivative liabilities	(277		)	(15		)	(145		)	(117		)	—
Net assets (liabilities)	$	8,310		$	6,660		$	1,701		$	(102	)	$	51

Reconciliation Of Assets And Liabilities Measured At Fair Value On A Recurring Basis Using Unobservable Inputs

The following tables provide reconciliations of beginning and ending balances of assets and liabilities measured at fair value using Level 3 measurements.

	Derivatives (net)
	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions)	2020			2019			2020			2019
Balance at beginning of period	$	(92	)	$	(79	)	$	(102	)	$	(113	)
Total pretax realized or unrealized gains included in comprehensive income	(102		)	—			(102		)	—
Purchases, sales, issuances and settlements:
Purchases	—			—			14			38
Settlements	(3		)	(9		)	(18		)	(32		)
Total (losses) gains included on the Condensed Consolidated Balance Sheet	(6		)	(2		)	5			17
Balance at end of period	$	(203	)	$	(90	)	$	(203	)	$	(90	)

Quantitative Information Table - Level 3

The following tables include quantitative information about the Duke Energy Registrants' derivatives classified as Level 3.

	September 30, 2020
												Weighted
	Fair Value											Average
Investment Type	(in millions)			Valuation Technique	Unobservable Input	Range						Range
Duke Energy
Electricity contracts	$	(102	)	RTO forward pricing	Forward electricity curves – price per MWh	$	14.92		-	$	151.18	$	29.63
Duke Energy Ohio
FTRs	2			RTO auction pricing	FTR price – per MWh	—			-	1.90		0.64
Duke Energy Indiana
FTRs	8			RTO auction pricing	FTR price – per MWh	(1.03		)	-	6.10		0.74
Piedmont
Natural gas contracts	(111		)	Discounted cash flow	Forward natural gas curves – price per MMBtu	1.81			-	2.50		2.11
Duke Energy
Total Level 3 derivatives	$	(203	)

	December 31, 2019
												Weighted
	Fair Value											Average
Investment Type	(in millions)			Valuation Technique	Unobservable Input	Range						Range
Duke Energy Ohio
FTRs	$	4		RTO auction pricing	FTR price – per MWh	$	0.59		-	$	3.47	$	2.07
Duke Energy Indiana
FTRs	11			RTO auction pricing	FTR price – per MWh	(0.66		)	-	9.24		1.15
Piedmont
Natural gas contracts	(117		)	Discounted cash flow	Forward natural gas curves – price per MMBtu	1.59			-	2.46		1.91
Duke Energy
Total Level 3 derivatives	$	(102	)

Schedule Of Long Term Debt Fair Value

The fair value and book value of long-term debt, including current maturities, is summarized in the following table. Estimates determined are not necessarily indicative of amounts that could have been settled in current markets. Fair value of long-term debt uses Level 2 measurements.

	September 30, 2020				December 31, 2019
(in millions)	Book Value		Fair Value		Book Value		Fair Value
Duke Energy(a)	$	60,718	$	69,503	$	58,126	$	63,062
Duke Energy Carolinas	12,548		15,165		11,900		13,516
Progress Energy	19,865		23,825		19,634		22,291
Duke Energy Progress	9,358		10,808		9,058		9,934
Duke Energy Florida	7,917		9,684		7,987		9,131
Duke Energy Ohio	3,089		3,619		2,619		2,964
Duke Energy Indiana	4,104		5,140		4,057		4,800
Piedmont	2,780		3,276		2,384		2,642

(a)

Book value of long-term debt includes $1.4 billion at September 30, 2020, and $1.5 billion at December 31, 2019, of unamortized debt discount and premium, net of purchase accounting adjustments related to the mergers with Progress Energy and Piedmont that are excluded from fair value of long-term debt.

Duke Energy Carolinas

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020
(in millions)	Total Fair Value			Level 1		Level 2			Not Categorized
NDTF cash and cash equivalents	$	42		$	42	$	—		$	—
NDTF equity securities	3,229			3,183		—			46
NDTF debt securities	1,232			131		1,101			—
Derivative assets	38			—		38			—
Total assets	4,541			3,356		1,139			46
Derivative liabilities	(33		)	—		(33		)	—
Net assets	$	4,508		$	3,356	$	1,106		$	46

	December 31, 2019
(in millions)	Total Fair Value			Level 1		Level 2			Not Categorized
NDTF cash and cash equivalents	$	21		$	21	$	—		$	—
NDTF equity securities	3,154			3,103		—			51
NDTF debt securities	1,172			206		966			—
Total assets	4,347			3,330		966			51
Derivative liabilities	(49		)	—		(49		)	—
Net assets	$	4,298		$	3,330	$	917		$	51

Progress Energy

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020								December 31, 2019
(in millions)	Total Fair Value			Level 1		Level 2			Total Fair Value			Level 1		Level 2
NDTF cash and cash equivalents	$	645		$	645	$	—		$	80		$	80	$	—
NDTF equity securities	2,230			2,230		—			2,530			2,530		—
NDTF debt securities	992			232		760			1,196			519		677
Other debt securities	53			—		53			51			—		51
Other cash and cash equivalents	107			107		—			49			49		—
Derivative assets	33			—		33			7			—		7
Total assets	4,060			3,214		846			3,913			3,178		735
NDTF equity security contracts	—			—		—			(23		)	—		(23		)
Derivative liabilities	(36		)	—		(36		)	(65		)	—		(65		)
Net assets	$	4,024		$	3,214	$	810		$	3,825		$	3,178	$	647

Duke Energy Progress

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020								December 31, 2019
(in millions)	Total Fair Value			Level 1		Level 2			Total Fair Value			Level 1		Level 2
NTDF cash and cash equivalents	$	57		$	57	$	—		$	53		$	53	$	—
NDTF equity securities	2,150			2,150		—			2,077			2,077		—
NDTF debt securities	992			232		760			921			244		677
Other cash and cash equivalents	1			1		—			2			2		—
Derivative assets	33			—		33			—			—		—
Total assets	3,233			2,440		793			3,053			2,376		677
Derivative liabilities	(20		)	—		(20		)	(49		)	—		(49		)
Net assets	$	3,213		$	2,440	$	773		$	3,004		$	2,376	$	628

Duke Energy Florida

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020						December 31, 2019
(in millions)	Total Fair Value		Level 1		Level 2		Total Fair Value			Level 1		Level 2
NDTF cash and cash equivalents	$	588	$	588	$	—	$	27		$	27	$	—
NDTF equity securities	80		80		—		453			453		—
NDTF debt securities	—		—		—		275			275		—
Other debt securities	53		—		53		51			—		51
Other cash and cash equivalents	2		2		—		4			4		—
Derivative assets	—		—		—		7			—		7
Total assets	723		670		53		817			759		58
NDTF equity security contracts	—		—		—		(23		)	—		(23		)
Derivative liabilities	—		—		—		(1		)	—		(1		)
Net assets	$	723	$	670	$	53	$	793		$	759	$	34

Duke Energy Indiana

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020								December 31, 2019
(in millions)	Total Fair Value		Level 1		Level 2		Level 3		Total Fair Value			Level 1			Level 2		Level 3
Other equity securities	$	84	$	84	$	—	$	—	$	81		$	81		$	—	$	—
Other debt securities	45		—		45		—		44			—			44		—
Other cash and cash equivalents	1		1		—		—		—			—			—		—
Derivative assets	8		—		—		8		13			2			—		11
Total assets	$	138	$	85	$	45	$	8	$	138		$	83		$	44	$	11
Derivative liabilities	—		—		—		—		(1		)	(1		)	—		—
Net assets	$	138	$	85	$	45	$	8	$	137		$	82		$	44	$	11

Reconciliation Of Assets And Liabilities Measured At Fair Value On A Recurring Basis Using Unobservable Inputs

The following table provides a reconciliation of beginning and ending balances of assets and liabilities measured at fair value using Level 3 measurements.

	Derivatives (net)
	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions)	2020			2019			2020			2019
Balance at beginning of period	$	10		$	28		$	11		$	22
Purchases, sales, issuances and settlements:
Purchases	—			—			10			29
Settlements	(3		)	(7		)	(13		)	(26		)
Total gains (losses) included on the Condensed Consolidated Balance Sheet	1			(5		)	—			(9		)
Balance at end of period	$	8		$	16		$	8		$	16

Piedmont Natural Gas

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Fair Value Measurement Amounts For Assets And Liabilities

The following tables provide recorded balances for assets and liabilities measured at fair value on a recurring basis on the Condensed Consolidated Balance Sheets.

	September 30, 2020								December 31, 2019
(in millions)	Total Fair Value			Level 1		Level 3			Total Fair Value			Level 1		Level 3
Derivative assets	$	6		$	6	$	—		$	1		$	1	$	—
Derivative liabilities	(111		)	—		(111		)	(117		)	—		(117		)
Net (liabilities) assets	$	(105	)	$	6	$	(111	)	$	(116	)	$	1	$	(117	)

Reconciliation Of Assets And Liabilities Measured At Fair Value On A Recurring Basis Using Unobservable Inputs

The following table provides a reconciliation of beginning and ending balances of assets and liabilities measured at fair value using Level 3 measurements.

	Derivatives (net)
	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions)	2020			2019			2020			2019
Balance at beginning of period	$	(105	)	$	(114	)	$	(117	)	$	(141	)
Total (losses) gains and settlements	(6		)	3			6			30
Balance at end of period	$	(111	)	$	(111	)	$	(111	)	$	(111	)